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Throughout the pandemic, Indiana paid out all of the money it had -- a little less than $1 billion -- in a rainy day fund meant for unemployed workers. To continue paying unemployment benefits, the state began borrowing money from the federal government.
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More than 400,000 Hoosiers would lose, on average, about 46 percent of their unemployment benefits under the proposed federal HEALS Act thats according to a recent analysis by The Century Foundation, a progressive think tank.
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Months into the pandemic, many desperate workers say they still havent received unemployment benefits. And as many WorkOne re-employment offices reopen by appointment this week, staff fear theyll be caught in the middle between those people and the Indiana Department of Workforce Development.
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A little more than 30,000 Hoosiers applied for unemployment benefits last week as the economic impact of COVID-19 drags on. That adds to the quarter of a million people who continue to get unemployment benefits from the state.
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DWD says it should be able to accept online unemployment insurance applications for self-employed workers starting April 24. The actual payments will begin May 4.
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Under Indiana state law, unemployment benefits end after a maximum of 26 weeks. With the new federal rules from the CARES Act, the Department of Workforce Development will manage the payment of federal benefits for an additional 13 weeks.
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Across the country, almost 17 million workers filed for unemployment benefits in the last three weeks due to COVID-19. That includes more than 300,000 people from Indiana.
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The sheer amount and speed of layoffs during the COVID-19 pandemic are putting enormous strain on the unemployment insurance system in Indiana. It's leaving some wondering how the system works -- and if it's prepared to handle this crisis.
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A new federal law gives states the ability to open up their unemployment insurance benefits to self-employed workers. But it could take weeks before Indiana receives guidance on how to actually implement that change.
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Indianas unemployment insurance program has seen a significant increase in claims as business is disrupted by the coronavirus outbreak.